Description: On Tuesday McDonald’s announced they would be bringing Krispy Kreme’s tasty products to its American restaurants by 2026. It wasn’t long though before Canadian consumers found out it was no sweet deal here. Krispy Kreme has only 14 locations in Canada, so one may surmise that this would have been an excellent way to expand the market in this country. The article offered no explanation as to why this “doughnut deal glazes over other countries,” like Canada.
Date: March 21, 2024
Source: ctvnews.ca
Discussion points:
1) How many students in your class have tried Krispy Kreme doughnuts? What were their overall impressions?
2) Why do you think McDonald’s made a strategic decision to “glaze over” other countries like Canada?
3) Pages 8-29 to 8-32 of Wiley’s Understanding Financial Accounting deal with accounting for intangible assets, including franchise rights that an owner of a local McDonald’s or Krispy Kreme would need to operate their business. How would you record these franchise rights on the financial statements?
Leave a Reply